Goldman Ups Aon Target Amid 42% Volume Spike and 166% Strategy Return

On July 29, 2025, Aon (AON) fell 4.10% to $368.20, with a trading volume of $0.79 billion, up 42.37% from the prior day. Goldman Sachs raised its price target to $430 from $408, citing Aon’s Q2 results, including 6% organic revenue growth and 19% adjusted EPS growth. The firm also increased its 2026 and 2027 EPS forecasts by 1.5%, reflecting confidence in Aon’s strategic execution.

Aon reported Q2 revenue of $4.2 billion, up 11% year-over-year, driven by 6% organic growth across three of four solution lines. The CEO highlighted momentum in Commercial Risk, Reinsurance, and Health segments, with NFP integration contributing to new business wins and expanded client relationships. Analysts noted Aon’s focus on AI-driven tools like Broker Copilot and cyber reinsurance innovations as key differentiators in a complex market environment.

Goldman Sachs’ revised target implies a 9.14% upside from Aon’s current price, while the estimated GF Value of $419.85 suggests a 14.21% potential gain. Despite the stock’s decline, the firm’s 3×3 Plan and Aon Business Services (ABS) continue to drive operational efficiency, with 80 basis points of margin expansion in Q2. Aon reaffirmed its full-year guidance, emphasizing double-digit free cash flow growth and disciplined capital allocation, including $1 billion in shareholder returns for 2025.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day generated a 166.71% return from 2022 to the present, outperforming the benchmark’s 29.18%. This approach achieved a 137.53% excess return, a 31.89% CAGR, and a Sharpe ratio of 1.14, with no maximum drawdown recorded.